The waste management legislative environment in Hungary

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The waste management legislative environment is changing in Hungary. As Péter Viczkó explains, in addition to the administration of the environmental fee, extended producer responsibility obligations will be introduced for so-called circular products.

These products are packaging, certain plastic products, electrical and electronic equipment, batteries, accumulators, motor vehicles, tyres, office paper, advertising paper, baking oil and grease, certain textiles products and wooden furniture.

Under the new system, which will start from 1 July 2023, the producer will be responsible for the waste management of the product after it becomes waste by paying an extended producer responsibility fee (deductible from the environmental fee) to MOL Plc.

The producer under the Waste Act remains the producer of the product and, if the product is not produced in Hungary, the first person to release the product in Hungary in the course of his economic activity. Releasing is the first domestic sale, own use, removal from a VAT warehouse or a product charge warehouse in the country, sale from abroad by distance selling.

The new system also requires a different administration, so please be prepared for new reporting obligations, new invoice clause, etc.
Failure to register will result in waste management fines, and the extended producer responsibility fee will also be payable retrospectively in this case, and the release to the market of the product may be suspended if these are not paid.

Péter Viczkó, our partner in Hungary, is a Member of HACh, Tax expert and IFRS certified with a long experience in the sector of the waste management legislative environment.

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